Recent regional political developments will negatively affect the economic relations of Qatar with Saudi Arabia and the UAE in the upcoming period, especially since Saudi Arabia and the UAE, along with Egypt and Bahrain decided to cut diplomatic relations with Qatar on Monday.
By the end of 2016, the trading value between Qatar and the GCC countries reached QAR 38 billion ($10.4 billion), according to official statistics, of which 82% or AED 31.16 billion ($8.55 billion) were contributed by Saudi Arabia and the UAE.
The commercial exchange between Qatar and the world in 2016 stood at QAR 324 billion, of which 14% was conducted with Arab countries and 12% with GCC states.
In 2016, Qatar imported products worth QAR 18.79 billion from the Gulf countries, of which the UAE acquired a share of 56% and Saudi Arabia of 27% at a collective value of AED 16.6 billion ($4.55 billion).
Qatar’s imports from Bahrain represent 6% of its imports from the GCC countries.
On the other hand, Qatar exports to the Gulf countries amounted to QAR 19.1 billion in 2016, of which Saudi Arabia and the UAE imported 10% and 72%, respectively.
In 2016, the value of Qatari exports to the world reached QAR 208.2 billion. About 11% of those exports went to Arab countries and 9% to GCC states.
The decision of cutting ties will have a considerable financial impact on investments and the stock markets, member of the National Advisory Board of Chartered Institute for Securities & Investments (CISI) Wadah Al Taha noted.
By Mahmoud Gamal
